By Joanna Marsh, Freight Waves; April 5, 2019
Precision scheduled railroading (PSR) could benefit customers and shippers, but its deployment pace and how shippers respond to changes will be key to its success, panelists said yesterday at the North East Association of Rail Shippers conference in Baltimore, Maryland.
PSR is an operational model in which railcars run on a fixed schedule. All the Class I railroads except BNSF (NYSE: BRK) have deployed it, with Kansas City Southern (NYSE: KSU), Norfolk Southern (NYSE: NSC) and Union Pacific (NYSE: UNP) being the latest railroads to adopt the model. Detractors say PSR is a way for the railroads to increase profitability by slashing costs, while proponents say the model is needed to keep up with a 24/7 business model.